An appliance company has determined that the cost of producing ice cream makers is $11 per ice cream maker plus $12530 per month in fixed costs. The appliance company sells each ice cream maker for $190. Find the break-even point.
Added by Jacqueline J.
Step 1
This includes both the variable cost per unit and the fixed costs. The variable cost per unit is $11 and the fixed costs are $12530 per month. Show more…
Show all steps
Close
Your feedback will help us improve your experience
Victor Salazar and 98 other Algebra educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Key Concepts
Recommended Videos
An ice cream producer has fixed costs of $70,000 per month, and it can produce up to 15,000 ice cream tubs per month. Each tub costs $10 in the market while the producer faces variable costs of $3 per tub. a. What is the economic breakeven level of production? b. Calculate the ice cream producer's monthly profits at full capacity. What would happen to the monthly profits if another ice cream producer entered the market, driving the price of ice cream tubs down to $7 per unit?
Manasvee S.
A manufacturer sells belts for $11 per unit. The fixed costs are $1200 per month, and the variable cost per unit is $7. (a) Write the equations of the revenue R(x) and cost C(x) functions. R(x) = C(x) = (b) Find the break-even point. It takes _____ units to break even.
Kathleen C.
Break-even point Rollowheel, Inc., can manufacture a pair of in-line skates for 43.53 dollars. Daily fixed costs of manufacturing in-line skates amount to 742.72 dollars. A pair of in-line skates can be sold for 89.95 dollars. Find equations expressing the expenses $E$ and the revenue $R$ as functions of $x,$ the number of pairs manufactured and sold. At what production level will expenses equal revenues?
Linear Systems
Systems of Linear Equations
Recommended Textbooks
Elementary and Intermediate Algebra
Algebra and Trigonometry
Transcript
Watch the video solution with this free unlock.
EMAIL
PASSWORD